Econ - Production

Distinguish between Production and Productivity.

ABC Limited manufactures smart phones. Ten assembly line workers are capable of producing 2,000 smart phones daily. How many smart phones are created per worker?

• 2

• 2000

• 200

• 20

Identify the FOUR Factors of Production.

• Land

• Capital

• Investments

• Labour

• Enterprise

Explain the term 'Land'.

• These are the natural resources used for production.

• Man-made resources used for production.

• Something you stand on.

• Somewhere you can build a house.

Identify examples of Land.

• Minerals

• Cash

• Water

• Crops

Define the term 'Labour'.

• Natural resources used for production.

• Human effort available for production.

• Inputs converted to outputs.

• Money invested in the business.

Identify the types of labour forces.

• Skilled

• Semi-skilled

• Partially-skilled

• Unskilled

Explain the term 'Capital'.

• Money invested into the business.

• Man-made goods used for production.

• The money and man-made goods invested and used for production.

• Someone who takes the risk to start and operate a business.

Analyse what is meant by Enterprise.

• Entrepreneurs who takes risks.

• Organisation of the other three factors by entrepreneurs who take risks.

• The market in which your company shares.

• The company or firm.